Saturday, July 11, 2009

If you were the government and unemployment was 8% and economic growth 1% what would you do?

It is to do with economics. What would suitable rates of unemployment and growth be?



If you were the government and unemployment was 8% and economic growth 1% what would you do?





Reduce interest rates, i.e stimulate demand, which means firms will produce more and employ more, problem solved.



And in relation to your sub question, it depends what country your in as to what suitable rates would be, for the UK suitable growth is 3% (+/-1%) and unemployment should be below 4% preferably.



If you were the government and unemployment was 8% and economic growth 1% what would you do?

loan



Do like they always have lie, Lie, LIE.|||Decrease the interest rates to increase borrowing, and therefore spending to stimulate econic growth.|||1% for both. Not including the retired or juvenile population.



I would cut the working week to 4 days so there would be more work to go around.|||From this question I would instantly say that I would increase the money supply to help with the unemployment rate and increase the economic growth. However, without knowing the inflation rate it is difficult to change the money supply and lower the interest rates. In general I would take a monetary policy of buying bonds on the markets to increase the money supply which would lower the unemployment rate but increase inflation. I would also make fiscal policies that would pay for more government expenditures while decreasing the taxes that are taken in.|||i would become george bush%26#039;s mate and invade iraq|||GIVE OUR EMERGENCY SERVICES A BIG BIG BIG BIG BIG BONUS WAGE AT THE BEGINNING OF THEIR WORK WEEK.|||Rebuild the Hoover dam.

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